Snap hits a new all-time low

In intraday trading on Friday, Snap traded for as low as $US14.34, the lowest price ever hit by the stock. The previous intraday low was $US14.63, set during trading on July 18.

Shares have been falling as Snap approaches its first lockup expiration date, when a large number of shares owned by company insiders will be able to be sold for the first time since the IPO. Investors are worried those insiders will flood the market with shares and drive the price down, according to a recent note by JP Morgan.

JP Morgan estimates 1.2 billion shares will become available for trading by the end of August.

Snap has been releasing several new features that can open up new revenue channels for the company. Snap Maps allows advertisers to buy location-based ads, and the company just released a new ad platform that will make buying ads on Snapchat easier. JPMorgan said these new features will not impact the upcoming quarterly earnings report, but should boost the company’s revenue in the future.

Other investors say the decline in share price more closely tied to a disconnect in understanding among older investors. Snap’s biggest audience is made of younger millennials, and investors just don’t understand, according to Stiefel.